Tether has expanded its GENIUS Act-compliant USAT stablecoin to the Celo blockchain, marking the token’s first deployment beyond Ethereum and extending its reach into one of the industry’s fastest-growing mobile-focused payment networks.
The launch represents the first multi-chain expansion for USAT since Tether introduced the regulated stablecoin earlier this year to serve the US market under the framework established by the GENIUS Act. By moving onto Celo, Tether aims to broaden access to compliant digital-dollar payments while leveraging a blockchain optimized for low-cost transactions and mobile adoption. Unlike USDT, which primarily serves international markets, USAT was specifically designed to comply with the United States’ new stablecoin regulatory framework. The GENIUS Act establishes federal requirements covering reserve management, disclosures, redemption rights and regulatory oversight for dollar-backed stablecoins operating in the US.
Tether said expanding beyond Ethereum reflects growing demand for regulated digital dollars across multiple blockchain ecosystems rather than a single network.
Celo Offers Mobile Payments and Stablecoin Scale
Celo was selected because of its strong focus on payments and existing stablecoin activity. The Ethereum Virtual Machine-compatible Layer-1 blockchain has become one of the most active networks for dollar-denominated transfers, particularly through Opera’s MiniPay wallet. MiniPay has attracted millions of users by enabling low-cost payments directly within mobile devices, making Celo an attractive distribution channel for regulated digital dollars. According to ecosystem data cited in reports covering the launch, Celo already processes a significant share of global USDT transfers despite being much smaller than Ethereum in total value locked. The network’s emphasis on inexpensive transactions and mobile accessibility aligns with Tether’s objective of expanding stablecoin usage beyond cryptocurrency trading into everyday financial activity.
The expansion also gives developers another compliant settlement asset for decentralized applications operating on Celo. Because USAT follows the regulatory standards established under the GENIUS Act, institutions and fintech companies may find it easier to integrate than offshore-issued stablecoins in certain US-facing applications.
Stablecoin Competition Intensifies
The launch underscores how competition in the stablecoin market is increasingly shifting from simple issuance toward distribution across multiple blockchain ecosystems. While Ethereum remains the dominant settlement layer for regulated stablecoins, issuers are racing to establish liquidity wherever users transact. Networks offering lower fees and faster settlement have become increasingly attractive as stablecoin payments expand into remittances, merchant payments and decentralized finance. For Tether, extending USAT to Celo complements its broader strategy of maintaining USDT as the dominant global dollar-backed stablecoin while developing a separate product tailored specifically for the regulated US market.
The move also highlights Celo’s growing role in the stablecoin economy. Once known primarily as a mobile payments blockchain, the network has increasingly positioned itself as infrastructure for regulated digital assets, attracting issuers seeking scalable and cost-efficient settlement. Although Ethereum is expected to remain USAT’s primary blockchain, the Celo deployment demonstrates that Tether intends to pursue a multi-chain strategy from the outset. As regulatory clarity improves and stablecoin adoption accelerates, expanding compliant digital dollars across multiple networks may become just as important as issuing them in the first place.
